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First Thing First

Claimant- John with Lawyer

Respondent- ABC Inc. with Lawyer

 

John, a licensed contractor in India, was hired by ABC Inc. to renovate their office building located in downtown Mumbai. The project involved various construction services such as painting, plumbing, electrical work, and carpentry. The contract between John and ABC Inc. specified a fixed fee of 8% of the total project cost.

The work began as planned, but after a few weeks, ABC Inc. began expressing dissatisfaction with the quality of work and the pace of progress. They complained that some of the work was not completed as per the contract, and there were delays in completing the project. On the other hand, John argued that he had done his best and had completed the work according to the contract, but some delays were caused by unforeseen circumstances such as monsoons and a shortage of materials.

During the project, there were several disputes over the scope of work and who was responsible for additional costs. John claimed that ABC Inc. made numerous changes to the project specifications, which resulted in additional expenses and caused delays. ABC Inc., on the other hand, claimed that John did not follow the agreed-upon scope of work and was responsible for the additional costs.

Furthermore, ABC Inc. alleged that John used subpar materials and hired unskilled workers, which resulted in shoddy workmanship. John denied these allegations and insisted that he used only high-quality materials and skilled workers. Lastly, there were disputes over payments. ABC Inc. claimed that John had already been paid for work that was not completed, while John claimed that he had not been paid for all completed work.

The tension between John and ABC Inc. escalated, and ABC Inc. eventually decided to terminate John's services. John was upset that he had put in a lot of effort and time into the project but was not getting paid for the completed work. He also claimed that he had incurred additional expenses because of the client's demands and changes in the project specifications.

John sent a legal notice to ABC Inc. seeking compensation for the completed work and damages but did not receive any response. Frustrated, John filed a lawsuit against ABC Inc. claiming an amount of INR 50 lakhs for the completed work, and additional damages.

Now, both parties have agreed to attend a mediation session to resolve the dispute. The mediator will facilitate communication between the parties, identify their underlying interests, and help them reach a mutually acceptable solution.

Confidential information for John

John is a licensed contractor with over a decade of experience in the construction industry. He had an excellent reputation and a long list of satisfied clients. However, his recent project with ABC Inc. had not gone as planned. John had initially been excited to take on the project. The contract had specified a fixed fee of 8% of the total project cost, which was a significant amount. He had spent weeks preparing for the project, sourcing high-quality materials, and hiring skilled workers.

The work had begun as planned, but after a few weeks, John had encountered several challenges. The monsoons had caused significant delays, and the shortage of materials had forced him to source them from other suppliers at a higher cost. Additionally, ABC Inc. had requested several changes to the project specifications, which had resulted in additional expenses and caused further delays.

Despite these challenges, John had tried his best to complete the project on time and within the agreed-upon budget. However, ABC Inc. had expressed dissatisfaction with the quality of work and the pace of progress. They had complained that some of the work was not completed as per the contract, and there were delays in completing the project.

John had denied these allegations and insisted that he had used only high-quality materials and skilled workers. He had also claimed that ABC Inc. had made numerous changes to the project specifications, which had resulted in additional expenses and caused delays.

However, there was some information that John had initially hidden from ABC Inc. In his efforts to keep the project on track, John had taken shortcuts and cut corners. He had used some subpar materials and hired a few unskilled workers to save costs. He had also taken on other construction projects simultaneously, which had caused delays in the project's completion. Also, John had borrowed money from a private lender to cover some of his project expenses, which had caused him significant financial stress and pressure to complete the project quickly. He doesn’t want ABC Inc. to know about it because he knows they may be hesitant to settle with John if they believe that his financial instability could jeopardize the project's completion or quality.

During the mediation proceedings John’s primary interests are:

  1. John is a licensed contractor with a good reputation in the industry, and he is looking to protect his reputation.

  2. John is concerned about his cash flow and wants to get paid for the work he has completed so far.

  3. John is open to making reasonable adjustments to the scope of work but wants to ensure that any additional costs are covered by Abc Inc.

  4. John is willing to work collaboratively with Abc Inc. to complete the project, but he needs the flexibility to manage unforeseen delays and issues.

 

In the end John wants to settle and is not interested to go into time taking litigation processes.

Confidential information for ABC Inc.

 

ABC Inc. is a well-established company in the financial services sector with offices in Mumbai. The company had recently acquired a new building in the heart of the city and decided to renovate the entire building to create a modern and stylish office space. They had a tight budget and a tight timeline for the project, so they hired John, a licensed contractor in India, to manage the renovation project.

At the start of the project, ABC Inc. had several specific goals in mind. They wanted the renovation to be completed within the timeline and budget set out in the contract, and they wanted the finished result to be a high-quality and modern office space. Additionally, ABC Inc. was committed to using eco-friendly materials and practices wherever possible.

However, as the project progressed, ABC Inc. began to feel frustrated with John's management of the project. They believed that the project was not progressing as quickly as it should be and that the quality of work was not up to their standards. As per ABC Inc. John was using subpar materials and unskilled workers, which was resulting in shoddy workmanship. They believed that this was compromising the quality of the finished product and would ultimately harm their reputation in the market.

Finally, ABC Inc. was also concerned about the payments that they had made to John. They claimed that they had already paid him for work that was not completed, while John claimed that he had not been paid for all completed work. ABC Inc. was hesitant to make any further payments until they were satisfied that the work was up to their standards.

Given all these concerns and issues, ABC Inc. eventually decided to terminate John's services. They were frustrated with the delays, the additional expenses, and the quality of work, and they believed that John was not living up to the terms of the contract.

However, ABC Inc. realizes that some of the delays and quality issues were caused by their failure to provide a safe and secure working environment. The construction site was often overcrowded with other workers, which made it difficult for John's team to work efficiently and safely. At the time of contract, in a hurry ABC Inc. had failed to provide clear and timely communication with John, that led to misunderstandings and conflicts.

ABC Inc. had been aware of certain environmental regulations that needed to be followed during the construction process but failed to inform John of these requirements. This led to delays and additional expenses when John had to obtain necessary permits and approvals. Also, ABC Inc. had failed to provide timely approvals and feedback on the work completed by John, which caused further delays and added to the frustration of John.

During the mediation proceedings ABC Inc’s primary interests are:

  1. ABC Inc. is motivated to complete the project and may be open to finding a solution that allows the project to move forward.

  2. ABC Inc. has concerns about protecting their interests in the dispute, such as maintaining control over the project and protecting their legal rights.

  3. ABC Inc. is interested in preserving their business relationship with John. Despite deciding to terminate his services they want to go ahead and consider resinstating the terms of the contract.

  4. ABC Inc. is concerned about the potential financial implications of the dispute and may be motivated to settle the matter in a way that minimizes their financial liability.

  5. ABC Inc. is motivated to avoid the costs and risks associated with litigation and is open to settling the matter through mediation.

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